Opportunity Initiatives. Driving positive change through education, community and good business practice.

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1 Opportunity Initiatives Driving positive change through education, community and good business practice.

2 Driving positive change In 2016 we launched Opportunity Initiatives, bringing our corporate responsibility strategy to life and setting out our plans and long term targets on issues important to our stakeholders and to us. Twelve months on we have evolved our plan to focus on seven initiatives under the pillars of education, community and good business practice. Through our investment in education we can help people acquire the skills our economy and society need and help prepare the workforce of the future. We focus on community because we fundamentally believe we have a responsibility to invest in improving the wellbeing of people, business and society. Good business practice enables us to make transparent and balanced business decisions that support positive social, economic and environmental outcomes. We remain committed to using our initiatives as a way to drive long term sustainable value and positive change for all our stakeholders.

3 Education Through our investment in education we help people acquire the skills our economy and society need and help prepare the workforce of the future. $18m+ will be invested in education in 2018

4 #1 Teach people the value of money Through our financial education programs we help build money management capabilities and longterm financial wellbeing. Our goals 346,000 students will participate in School Banking with annual average of 54% saving regularly (3 times per quarter) in FY18. Trial new financial education approaches with 5,000 students as part of the next generation Start Smart in Build on 2,500 Indonesian women empowered through WISE financial literacy program in More than 550,000 students to enrol in Start Smart in 2018 (3.1 million since 2009). 10,000 Indigenous students to complete financial education program with AIME by the end of Start Smart Virtual Reality The Teleporter Adventures Australia s National Financial Literacy Strategy details the importance of parents involvement in their children s learning about money. Research indicates that most children form money habits by the time they are seven years old, but only about one in six parents discuss finances with their kids. We undertook a two-month trial with around 1,500 primary school students to determine whether virtual reality technology, combined with a storybook, would encourage parentchild discussions on financial topics. The Start Smart pilot focused on teaching the difference between needs and wants. Feedback found that 93% of kids that didn t know the difference before the trial, did after completing the experience.

5 #2 Help prepare the workforce of the future By recognising and supporting educators, providing access to education, and supporting research innovation we are helping prepare the workforce of the future. Our goals 48 Commonwealth Bank Teaching Fellows will be awarded by the end of $2.5m to be invested in cyber security education for students by the end of Develop academic partnerships with selected universities to support the Group s innovation, talent and people agendas. Australian Teaching and Learning Toolkit will be used by 10,000 teachers in Launch a coordinated action plan to support STEM education within the community by Teaching Fellow: Sarah Matthews In 2008, Dr Sarah Mathews took a big risk, leaving behind her 17-year career as a scientist to become a high school maths and science teacher at Brisbane Bayside State College. Through her analysis of NAPLAN trends, Sarah observed that many students had limited numeracy ability. This led her to develop a numeracy committee that introduced the evidence-based practice of numeracy moments a program that enriches mathematical thinking by incorporating mathematics into reallife situations. Since the launch of the initiative in 2013, there has been a marked improvement in students problem solving and reasoning skills and a significant improvement in the College s NAPLAN numeracy results.

6 Community We have a responsibility to invest in improving the wellbeing of people, business and communities. 2% of our pre-tax profit will be invested in the community in 2018

7 #3 Enhance and secure financial wellbeing Create and invest in programs and tools that improve financial wellbeing. Our goals Develop products and experiences that assist customers to address their most pressing financial wellbeing challenges. Release Financial Inclusion Action Plan and report on progress biannually. Launch assistance package for customers experiencing domestic violence and roll out statebased Financial Abuse Guides in Support more than 48,000 customers in hardship to return to financial wellbeing in Develop a robust and enduring measure of Customer Financial Wellbeing by the end of Increase financial services access in targeted emerging markets via Money Transfer, with 500,000 customers acquired in South Africa and ongoing roll out in Indonesia in Addressing Financial Abuse We have partnered with Domestic Violence NSW to launch Addressing Financial Abuse, a booklet for domestic and family violence support workers in NSW. Launched in June 2017, the community resource guide is designed to help impacted people establish financial independence as a key step in leaving an abusive relationship. The booklet provides guidance on the simple steps that can be taken to promote financial independence, such as opening up a new personal bank account; financial safety planning; freezing joint accounts and changing account passwords. State based versions will be available in late 2017.

8 #4 Contribute to our communities Support our employees to contribute their money, time and skills to local communities. Our goals Grow employee participation in the CommBank Foundation to 75% by Provide skilled pro-bono services to 50 community organisations per annum until the end of 2020 and launch our employee volunteering platform, connecting community organisations with our people in Improve engagement with local communities by holding 1,000 branch events in Provide $9m in community grants to 220 youth focused organisations by Support employees to raise more than $1 million per annum for cancer research annually to Work with the Australian Red Cross to support communities during times of disaster by leveraging our resources. Clown Doctors Alison Graham is one of our employees and a regular contributor to our employee giving program - Community Grants. She never imagined that her family would end up relying on the services and support networks that have been provided through funding from the program. Clown Doctors are specially trained performers who visit Australian children s hospitals and wards to help improve the experience for sick kids and their families, including Alison and her son Jack, who was diagnosed with acute lymphoblastic leukaemia and has undergone intensive chemotherapy. Clown Doctors helped to lift the spirits of Jack and many other sick children and we are proud to have supported them since 1999.

9 Good business practice We are focused on making transparent and balanced business decisions that support positive social, economic and environmental outcomes.

10 Build transparent and inclusive stakeholder relationships #5 Continually engage in ongoing open dialogue with stakeholders to ensure our business practices support balanced customer and community outcomes. Our goals Support the Code of Banking Practice update to improve standards of practice and strengthen our commitment to customers. Provide increased integrated financial solutions and support to Indigenous businesses; and enhance banking access for remote Indigenous customers. Hold Customer Advocate Community Council meetings quarterly in 2018 and execute an agreed set of priority initiatives. Conduct ongoing Our Commitments training with employees (living our vision & values). Connect more than 20,000 people to global innovation trends; and engage community stakeholders via our Innovation Lab Network to support social innovation in Customer Advocacy We have established a Customer Advocate Community Council comprising of 20 representatives covering social policy, community welfare and issues advocacy. The Council is a forum to listen and respond to community concerns, demonstrating our commitment to addressing vulnerable and disadvantaged customers, and supporting community relationships. The Customer Advocate has also established a specialist team to review and update our existing remediation principles and processes. These enhancements will ensure we have the highest standards in place and will support our commitment to put things right for customers when they go wrong in a timely, fair and consistent way.

11 #6 Build an inclusive culture that embraces the diversity of our people, customers and communities and role models reconciliation Develop strategies that build inclusive behaviours, leverage people s unique contributions and ensure they feel valued, respected and empowered to deliver their best every day. Our goals Implement Global Diversity and Inclusion strategy. By 2020, 45% women in Manager and above positions, 40% in Executive Manager and above positions and 40% female directors on the CBA board. Implement Indigenous Employment Strategy to support achieving parity target of 1.5% Aboriginal and Torres Strait Islander workforce by Implement Accessibility and Inclusion Plan Match the cultural diversity of senior leaders to the cultural diversity of the Australian population by Workplace Flexibility In October 2016, Commonwealth Bank s Group Lending Services team engaged 160 employees in a flexible working test-and-learn pilot, encouraging employees to work periodically from home. After the four-month trial, 90 per cent of participants said they felt more engaged, while customer outputs increased 12 per cent, thanks to fewer interruptions, better concentration and increased commitment. Following the success of the pilot, some 3,500 eligible staff in group operations centres across Australia were offered the opportunity to work from home as part of our ican Flex program.

12 #7 Lend, invest, procure and manage responsibly and sustainably Strengthen and align our lending, investing and procurement practices and use our influence to improve economic, social and environmental outcomes. Our goals Implement Climate Policy Position Statement, including scenario analysis to better understand impact of climate change by end Invest: apply the beliefs and commitments of the Responsible Investing Framework, where relevant, to our business and investment decisions using the guiding principles of integrity, balance, transparency and focus. Lend: progress implementation of nine ESG lending commitments and provide ongoing transparent disclosures. Procure: advance the sustainability of our supply chain by partnering with suppliers and internal teams. Manage: implement Sustainable Property Strategy including reduction of the Group s emissions to 2.0tCO2-e per full time employee per annum by Supporting Australian Renewables In March 2017, we were a lead bank supporting Edify Energy s project to construct three solar farms in Queensland and Victoria. The project will see close to 700,000 solar panels installed at the Whitsunday and Hamilton solar farms in Queensland, and Gannawarra in Victoria, generating enough electricity to power an estimated 87,000 homes. In December 2016, we supported one of the largest wind farms in Australia, Sapphire Wind Farm in the New England Tablelands in NSW. The project by CWP Renewables and Partners Group uses the latest in wind technology. Its 75 turbines are expected to generate enough energy to power about 100,000 households and offset over 600,000 tonnes of carbon emissions per year.

13 2017 Highlights Education 2.7 million students have accessed free financial education through Start Smart since it began in 2009 $16 million+ invested in education 12 Teaching Fellows each awarded a $45K scholarship Launched CommBank Youth App Community $3 million+ in Community Grants for 220 youth-focused organisations customers provided with hardship assistance every month $ 40% of eligible employees gave through the CommBank Foundation 100 years of giving to the community celebrated Good business practice 44% management roles held by women $2.8bn lending to renewable energy projects $1.5 million spent with 17 Indigenous suppliers 49% reduction in our CO 2 emissions since 2009

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